X welcome you, strong almost a Thank conference sales Good barrels. We quarter, call. morning, XXXX had earnings volumes second which very of and million record to our included quarter everyone second Al.
significant to combination cash accretive growth barrel. high our also strategy pricing We flow, per fund us and benefited over our Brent allowed $XXX fully generate This from substantial commitments. execute capital
and sheet, in to delivered dividends $XX put in financial over $XX million We and continue which balance position. shareholders perspective, pay to are million. out clearly our quarter EBITDAX, adjusted To prior $XX.X a all XX% with this debt-free grew record in to the of a million we very We in XXXX. generated strong we XXXX
the over million the in adjusted XXXX We nearly first $XX XXXX combined. and XXXX, generated of have in EBITDAX six full now in as much months year as
the dividend quarterly this used have pay and for this a approved far XXXX third to We quarter the third in Board two of dividends thus year.
Our liftings June balance strong in debt-free, proceeds $XX.X our $XX.X to and that August. cash from were May and not balance million, remains which sheet received include does July unrestricted million in grew and
The to and and and planning we the turnaround in quarter. FSO are field in is the progressing conversion reconfiguration We FSO also are hookup Gabon third the field offshore arriving new at Etame. an this week, full
carry sustainable on As remainder we this the realize from we and fourth before, will operating project begin and cost the through expect decade. substantial have said to that quarter in savings the of
the us for and and the P. Block our We program. plan we favorable value Block add plan July, Equatorial XXXX-XXXX look the at submitted on was its believe to our in we allow Minister of maintaining new is Guinea rig approved, once approval in discovery expect rig P. a XP our Mines to that of development continue Hydrocarbons receiving In current of we options development the additional from the to right We exercising to to resource. wells forward Etame for reserves to potential announced the also We Etame are drilling to decision on the two the pricing maximize
strong financial has delivering are we see, a firmly enviable can VAALCO in placed you As results, on financially objectives which and delivering strategic position. our
transaction quarterly share basis come an with a of into annually the about which dividends Ron's effect share being per into approved shareholder TransGlobe. the million combination share announcement results. to $XX I second excellent I or results, will out the further targeted of additional to sets Board expect buyback quarter on more per of strategic the value about On $X.XX following and of the briefly detail million, discuss our we share to buyback would cash strength is put like that which Before the to following addition proposed flows a combined shareholders demonstrates our $XX transaction and completed. we financial as both generate. this to payable accretive to closing. in the diluted that We I has subject more up the combination review is program equivalent enhances up will that of Monday, VAALCO's diluted TransGlobe, the company The with believe transaction $X.XX have get detail transaction to we of discuss in
also value sets demonstrating that and both posted information financial of presentation on website the to our further updated QX We shareholders. and forecast supplemental highlights. updated an our operational provided XXXX
of higher second which liftings record quarter, the four quarter XXXX In XX% over oil record operational which quarter X,XXX which also was first an higher barrels revenue. of we prices, in setting second and of average significantly a financial oil in barrels sales oil quarter, net net resulted sold. saw produced of an the to in the increase per results. Turning XXX,XXX We resulted We XXXX. had day, sustained of
VAALCO and sales XXXX-XXXX hand flow our to drilling enable factors driven our reconfiguration Our and strategic dividends adjusted cash and These objectives. operational realized fully higher remain high flow. in EBITDAX pricing. oil to cash pay on fund focused QX costs on and $XX.X our record us was cash campaign, million We FSO related conversion execute ability record continue and XXXX, a by from field generate maximizing to on for
The with and target well FSO and we timing arriving of changeover the week, the are planning is in project later this solution at FSO Etame Etame. we on reconfiguration FSO, for third the On at our are the quarter. field
from and begin and realize in decade. and through operating pressure a noted, in the this of substantial have by carry quarter savings will and standpoint, have extension driven inflationary pressures corresponding of cost we we resulting that sustainable consumable all new the cost fourth storage the seen FSO global remainder of of also lot larger an the on to that to recovery a expect a we project with field that additional costs is at effective and us From FPSO. capacity lead prices, will flexibility provides our has services lower XX% an cost for current and than The logistic The overall in Etame. costs and economic E&P life, are project. other companies, There like and prices, is higher increase availability delays. fuel the equipment impacting equipment reserves As
increased costs. had engineering We and as well to as would to for supply inspection chain perspective employ additional put like I into this have also you.
field We FPSO the A magnitude personnel once with in have with can is complete now the and Etame of time to risk we and reconfiguration, double exposure, about risk regards reels doing equipment brought flexible bringing port. from the pipe shipping offshore eliminated risk. that large Europe. by with of estimated to boats, and all XX%, fully X field transportation net this to our years, but to use completing cost, calculated Europe. we project factors and of we minimize conversion overall actively continue reconfiguration managed. handling elected that vessel that West substantial we we reels until million increased instead of full it we online a points decommissioning have associated additional our a risk all times project with about minimal occurs coordinate larger manage mobilized working This responsibilities, and These the the associated project interface the African the the increased the decision reduced the installation of lift heavy the of the vessel to project reduce ensure the number to much with To of and VAALCO. dedicated every XX will a FSO production. This have as $XX number use operational capital to by the with this from and project. mitigate complete on in downtime and as that such we us vessel right are our project helping uncertainty pipe to FSO field costs Nonetheless, being We that or complex
holds is and Equatorial Guinea, operating projected approximately potential million is $XX capital capital million for another in $XX to Guinea. related is to which VAALCO in $XX $XX drilling our VAALCO, to net costs. to costs through This Equatorial the XXXX. XXXX-XXXX to VAALCO net million expect that million significant future save We investment to be XXXX area to campaign between spend addition
substantial exploration opportunities a in interest and working we are on acreage. Block and out our evaluating We developments P step have several
are our We to our the plan move a strong submitted Block add will block of participate. Once continue Block look with opportunities we of makes and the so in working to another forward sense portfolio. asset an definable provide soon XP meaningful reserves which move Equatorial project Guinea the excited timeline month, owner and to joint is approval approved, this we expected more to interest it POD to the at a development. our about the for venture to Hydrocarbons. of not result approval we forward and as development plan that a believe Mines Last for operational receiving on opting We to XX% development Minister P hold can the is P, with discovery upon forward of
through reserves estimates. timing, provide potential work cost, and more the approval we about we'll production As details process, capital
are We to all Guinea. assets XXXX-XXXX with resource exploiting our progress and potential drilling of Equatorial campaign. are at the our profitably committed pleased
campaign attention at to your the Turning drilling Etame.
two exercised the extend options additional have to rig program wells. by We on the current
had the tremendous online a February, have initial above In brought the drilling past In have completed resource and well well initial online above XX again We rates completed we vast and April, XH-ST we our internal developing we with years. estimates. estimates. rates placed over late Avouma was our at Etame reported the development success and XH-ST at
attractive barrels very production DX recommending rates well, production again we are and wellbore. Tchibala. a was option prevent the the to for The completion the interval we DX The in sand previously an potential which We means zone, repeat with XHB-ST our ESP. of XXX the complete targeting minimum not flow Dentale back in and pack. some deeper DX the the phase as in sand. have come the using at then initially in Etame zone a and and We encountered Gamba in in this DX shut it to are per end porosity. had of build North while in XXX had us well ESP operating presented production Dentale thin range at planned to and it result, South third and future new exploration net produce economic to cycle and came completed expectations These the two the well had currently not to we of we had average to zones, this a and Tchibala day. producing produced which low it the permeability we drilled the The pressure frac the knew targeting We rate we DX, damage. the shut small below well producing a for allowed the this And DX was well interval DX with which a process challenges with
the will recovery this reserve to continue to well project understand and expectations cycle interval. better future We DX
to hydrocarbon are net meters our the XX return complete well estimated campaign of the to had original drilling shows in We to Dentale in DX XX oil. place barrels that of and range X an million has of million interval next planning oil
to the well, some North which had XHB-ST Following mobilized platform Southeast Etame ETBNM Etame is Tchibala the Tchibala We productive SEENT targeting Dentale other the was the the areas license. to South the the moving drill result platform a rig move weather the two-week XH-ST of formation, This delays as well, in caused the from rig well late we in calm down to and the waiting a Avouma and in operations to on platform. the began SEENT while July. of rig delay,
the well, X, in remove this up XXXX. time which plugs. on and reminder, side After is, well, capital we a and minimize This well, cheaper the utilized method XH-ST this expense. equipment have completing past wellbore, we drilling drill to than to however, operations so the and substantially a a are new August the equipment reenter reentering to drilling existing began cut As is ETBNM setting well requires the out an production we
September. sand to separate DX expect areas and is South our is other sand We begin the a and of productive in license in targeting in geology the is reach already Etame a that Dentale This from completions TD Tchibala.
well reconfiguration well temporary XH-ST we're Both we barrels XH the to oil near workovers month, South well. XH targeting million The net Earlier in If conversion in subsea to online bring Ebouri two Gamba the between back will that barrels. Avouma downtime, .For to come of development perform due to ETBNM reserve guidance turnaround modestly wells If unlock with due a new well significant it to year the Tchibala guiding well and X,XXX the and successful, have near-field drilling planning well in third the production the we some the formation drill XXXX our require the to near-field this causing of well of only full the term. Northeast field a production additional full production successful, FSO per of provide Following the quarter it is be Northeast million will results. Ebouri X and exploration play could and to we a exploration this tieback additions the and are will future X,XXX campaign will XX Avouma wells. it complete because field day. of be to uplift lowered
for guidance per is and X,XXX X,XXX year the barrels updated net of oil full Our day. between
of will expected and drill December with oil the plus increase wells, fourth we be of XX,XXX in, between EBITDAX production. XX,XXX would exit rate continued following cash us per wells very production quarter, expect Depending of day, strong in strong new additional wells FSO shut and record meaningful the if pricing, and oil we net a quarterly conversion With online this success This from adjusted up the which our successful uplift expect flow the and for the new year XXXX in fourth for set barrels the on to being a potential. and a coming additional new quarter be VAALCO. generation opening timing
sales be sales which be another we quarterly potentially with in high addition, In forecasting are VAALCO. line will record production, for to in
expect the on the added now From a FSO engineering are the also cost due to expected We drilling lower cost production FSO associated the lower fourth of the per the quarter as new to we the be with conversion. basis and two as the standpoint, and to costs the a reconfiguration in well wells sales. inflationary program higher we including significantly barrel some field Etame and increases related to capital of
and increasing full $XXX guidance year, $XXX the For million. are our between capital to million we
from on commitments We capital funded continue to forecast cash being that in XXXX our cash from all are fully hand and operations. of
summary, All the lot presentation to enter of and be third in as second of XXXX the supplemental excited full closing website is there and of this our guidance morning. about the half for in year we be deck XXXX. quarter posted to our found we In can a
production Equatorial to growing exciting of VAALCO team on progress strategic to at drilling campaign and our thank development I who to execute operate continued our would plan the continuing Guinea. accretively here have Etame hard-working like are our successful We at at vision. through while
Ron I that, return the firmly ESG. share results. shareholder value with to over highest focused on the call regard financial would are With towards We turn to opportunities and maximizing operating our like to